Referring to the Law of Value Added Tax issued by Royal Decree No. M/113 dated 2/11/1438 H and the Executive Regulations of the Value Added Tax Law issued by the Board of Directors of the General Authority for Zakat and Tax under Decision No. (3839) dated 14/12/1438 H.

SAMA wishes to emphasize the importance for all financing entities to comply with the Law of Value Added Tax, its Executive Regulations, and the guidelines and instructions issued by the General Authority for Zakat and Tax in this regard, and SAMA confirms that financing entities have the right to demand that customers pay the Value Added Tax amounts due for previous periods from real estate finance contracts, To facilitate customers, financing entities may offer all possible options for payment or settlement  provided that do not violate the relevant regulations and instructions, and on the condition that written approval is obtained from the customer if they accept any payment or settlement option before proceeding with any payment of the due amount. If the customer does not accept the available options for settling the VAT amounts due for previous periods, the financing entity may seek recourse through the competent judicial authorities to claim the payment of those amounts. 

For your information and compliance. SAMA will take the necessary legal measures in the event of non-compliance with these instructions.